Asia Pacific Carbon Fund
What is the Asia Pacific Carbon Fund?
The Asia Pacific Carbon Fund is a trust fund established and managed by ADB on behalf of fund participants. It became operational in May 2007 and is part of ADB’s ongoing Carbon Market Program (CMP), which provides financial and technical support for clean development mechanism (CDM) projects.
What are the priorities?
The fund seeks to increase the number of clean energy and energy efficiency projects in ADB developing member countries (DMCs). It is also designed to assist the fund participants in satisfying their legally binding emission reduction commitments under the Kyoto Protocol. The fund also aims to capitalize increased investments from developed countries to improve energy access in the Asia and Pacific region.
What kind of activities are eligible for the grant?
The fund is targeting the following project types:
- energy efficiency, covering industrial technology, supply-side technology (e.g., upgrade of generation equipment) and public transport and vehicle efficiency
- renewable energy, covering small-to mid-scale run-of-river hydropower, biomass, wind, solar and geothermal power
- methane capture and utilization which include coalmine methane and solid waste and waste water treatment
Who is eligible to receive the grant?
Projects should meet the following criteria for eligibility:
- Be located in one of ADB’s DMCs that is also a non-annex country under the Kyoto Protocol and eligible to host CDM Projects
- Be financed by ADB through a loan, equity investment, or guarantee, have entered into an agreement(s) with ADB for financing the project, or supported with technical assistance from ADB’s Carbon Market Initiative and have entered into agreements with a third party or parties for financing the project (satisfactory to the Trustee)
- Generate certified emission reductions (CERs) that result in permanent, not temporary, greenhouse gas (GHG) reductions
- Comply with ADB Operational Policies and Procedures
Who supports the grant?
The fund participants are:
- Fundo Portugues de Carbono (Portugal)
- Swedish Energy Agency (Sweden)
- The Grand-Duchy of Luxembourg
- Climate Cent Foundation (Switzerland)
- The Ministry for Foreign Affairs of Finland
- Belgium, on behalf of the Flemish Region
- The Kingdom of Spain